Issue No: 36
Architecture is the Key to Success
Printable PDF Version
By
Clive
Finkelstein
March 29, 2007: This issue of TEN discusses the
implications of The Four Stages of Enterprise Architecture
Maturity. This explains some of the reasons why organizations
struggle through the problems of redundant data versions with
business silos, and the difficulty of evolving to achieve the full
benefits of Enterprise Architecture (EA) and Service-Oriented
Architecture (SOA).
We also follow-up on
the
announcement in the previous issue of TEN of the availability of a series of online webcast courses covering methods
for the Rapid Delivery of Enterprise Architecture. These online
courses are based on the public and inhouse courses that I present
throughout the world. They are drawn from my latest book:
"Enterprise
Architecture for integration: Rapid Delivery Methods and
Technologies",
which was published by Artech House, Norwood, MA on March 31, 2006.
You can
read the review
of the book by Karen Lopez of InfoAdvisors, Inc in Toronto, Canada
in the April 2006 issue of TEN. This was published as:
TEN#32.
Links are also provided in that review so you can order the book
online direct from the publisher now, if you wish.
If
you do not want to receive future TEN mailings, please email
unsubscribe@ies.aust.com
with “Remove” and your email address in the Subject line.
Clive Finkelstein
Publisher, The Enterprise Newsletter (TEN)
Back to Contents
World Bank
Enterprise Architect Position
Chief Enterprise Architect, Washington, DC
The
World Bank seeks a senior level executive for the newly created
position of Chief Enterprise Architect (CEA) reporting to the
Vice President/CIO of the Bank’s Information Solutions Group (ISG).
The
CEA will lead a team of business process, data and technical
infrastructure, and application architects in developing, governing,
and evolving the Bank's enterprise IT architecture. The CEA will be
responsible for ensuring that the Bank's information systems and IT
infrastructure deliver business value in a cost effective, scalable,
and agile manner to a global workforce in over a 100+ countries and
its Headquarters in Washington, DC.
The
qualified candidate will provide the vision and leadership in
articulating the future state of the Bank’s enterprise architecture
and championing the effort to implement the necessary architectural
changes. The CEA will exercise oversight on all aspects of
architecture related to the Bank’s $200 million plus annual IT
spend.
In
this capacity, the qualified candidate will structure and chair the
World Bank’s Architecture Review Board, the main governance body
responsible for all aspects of the Bank’s enterprise architecture.
Critical Selection Criteria:
STRATEGY AND
LEADERSHIP
INFORMATION
TECHNOLOGY
-
Experience leading large scale IT implementations (50M USD or
larger)
-
Strong technical expertise and knowledge of network and
service-oriented architecture analysis and design
-
Deep knowledge of technical architecture and application
development
INTERNATIONAL
BUSINESS
-
Business process reengineering expertise
-
Broad business background in business analysis and strategy
-
Understanding of financial models and budgeting
-
Experience in delivering services in developing countries
OTHER ATTRIBUTES
-
Minimum of 17 years of relevant experience
-
Advanced degree required, MBA a plus
-
Fluency in English required, additional language skills expected
-
Strong persuasive skills and public speaking ability
The
World Bank Group is highly committed to achieving diversity in terms
of gender, nationality, culture, and educational background. Women,
individuals from developing countries and those with disabilities
are equally encouraged to apply. All applications will be treated in
the strictest confidence. Qualified candidates may apply on-line at
http://www.worldbank.org/jobs and choose vacancy # 070130.
Please note that you will need to register before submitting your
application. The closing date is April 12,
2007.
Back to Contents
During the week of March 12-16, I
recently presented a series of 1-day seminars for
iCMG in four cities
throughout India: Chennai; Hyderabad; Bangalore; and Delhi. This
seminar was titled: "Enterprise SOA" and was
based on the 1-day course: "Rapid
Delivery Technologies for Enterprise Architecture" These
seminars were attended by over 440 people, with an average of 110
people in each city. The course was enthusiastically received, with
many questions that extended 1 - 2 hours beyond the expected finish
time.
In Singapore on March 21-23, I
presented a 3-day workshop: "Enterprise Architecture for
Government" from March 21-23 for
Flipside. This was
based on the two courses: "Rapid
Delivery Methods Workshop for Enterprise Architecture" and
"Strategic Modeling
for Building Enterprise Architecture".
Back to Contents


CDI-MDM 2007 Sydney
Summit (May 28-29)
Clive Finkelstein will be presenting two Keynote Addresses at the
2nd Annual CDI-MDM 2007 Sydney Summit (28th
& 29th May, Sofitel Wentworth Hotel), on the topics of “Governance Analysis using Enterprise Architecture”
and
"Deriving Project Plans from Data Models for Rapid Delivery in
3-month Increments".
Other speakers include Aaron Zornes from The CDI-MDM Institute (USA)
and Paul Stansfield from BT (UK), plus case studies and insights
from Centrelink,
Tattersall, Westpac, ANZ Bank and many more.
Summit details can
be found online at
www.enterpriseiq.com.au. Special discounts are available for
“TEN” Subscribers. Contact Daniel McMurray for details at
danielm@enterpriseiq.com.au or on +61 2 9977 7302
Back to Contents
Four Stages of
Enterprise Architecture Maturity
The MIT Sloan
Center for Information Systems Research (CISR conducted a survey of
456 enterprises between 1995 and 2006 [1].
This identified four distinct architectural stages that both
business units and IT must pass through before the benefits of
Enterprise
Architecture or
Service-Oriented Architecture (SOA) can be fully realized. These
are:
-
Stage 1 –
Business Silos
-
Stage 2 –
Standardized IT Technology
-
Stage 3 –
Standardized Business Processes
-
Stage 4 –
Business Modularity
The MIT Sloan CISR says that:
“None of these
stages can be skipped, but they can be speeded up. As most
organizations are in the first or second stages, it will be years,
perhaps decades before SOA is adopted in a truly effective way.”
Each stage comes
with its own benefits, so there are a number of short-term gains on
the long-term architectural investment. Each stage takes about 5
years to get through, says CISR: “although that period can
shorten as more companies go through the process and learn what
missteps to avoid.”
The
public and inhouse
workshop:
“Strategic
Modeling for Building Enterprise Architecture” uses case study exercises and sample solutions to
demonstrate how EA benefits can be achieved rapidly [2]. This workshop
is based on the book: “Enterprise Architecture for Integration:
Rapid Delivery Methods and Technologies”, by Clive Finkelstein,
Artech House, Norwood MA (March 2006). A review of the book is at http://www.ies.aust.com/ten/ten32.htm. The
book can be purchased directly from the publisher by following the
Purchase Book links in the review.
Read also the
related article: "The
Rising Importance of the Enterprise Architect" by Diann Daniel,
published in CIO Magazine Online [3].
Figure 1 shows the
characteristics of each architectural stage from several
perspectives, which are discussed after the figure:
| |
Stage 1
Business Silos
|
Stage 2
Standardized Technology
|
Stage 3
Standardized Processes
|
Stage 4
Business Modularity
|
|
IT
Capability
|
Local IT applications
|
Standard technology platforms
|
Enterprise-wide standardized processes or data
|
Plug-and-play business process modules
|
|
Business Objectives
|
ROI
of local business initiatives
|
Reduced IT costs
|
Cost
and quality of business operations
|
Speed to market; strategic agility
|
|
Funding Priorities
|
Individual applications
|
Shared infrastructure services
|
Enterprise applications
|
Reusable business processes
|
|
Key Management Capability
|
Technology-enabled change management
|
Design & update of standards; funding shared
services
|
Core
enterprise process definition & measurement
|
Core
enterprise process definition & measurement
|
|
Who Defines Applications
|
Local business leaders
|
IT and business unit leaders
|
Senior managers and process leaders
|
IT, business and industry leaders
|
|
|
Measuring and communicating value
|
Establishing local vs. regional vs. global
responsibilities
|
Aligning project priorities with architecture
objectives
|
Defining, sourcing and funding business modules
|
|
|
Local/functional Optimization
|
|
Business operational efficiency
|
|

Figure 1: Four Stages of Enterprise Architecture Maturity
[Source: MIT Sloan Center for Information Systems Research]
IT Capability:
Stage 1
addresses local IT applications, while Stage 2 establishes standard
technology platforms, such as standard hardware, operating systems,
languages and DBMS products. Stage 3 defines enterprise-wide
standardized processes or data, while Stage 4 achieves plug-and-play
business process modules.
Business Objectives:
Stage 1
focuses on ROI of local business initiatives, while Stage 2
addresses reduced IT costs. Stage 3 focuses on cost and quality of
business operations, while the emphasis of Stage 4 is speed to
market and strategic agility.
Funding Priorities:
Stage 1
funding is for Individual applications, while Stage 2 establishes
shared infrastructure services. Stage 3 defines enterprise-wide
applications, while Stage 4 achieves strategic agility through
reusable business processes.
Key Management Capability:
Stage 1
addresses technology-enabled change management, while Stage 2
focuses on the design and update of standards and funding of shared
services. Stage 3 and Stage 4 both address core enterprise process
definition and measurement.
Who Defines Applications:
For
Stage 1, local business leaders define applications, while for Stage
2, applications are defined by IT and business unit leaders. In
Stage 3, applications are defined by senior managers and process
leaders, while Stage 4 applications are defined by IT, business and
industry leaders.
Key IT Governance Issues:
Stage 1 governance issues are measuring and
communicating value, while Stage 2 issues are establishing local
vs. regional vs. global responsibilities. In Stage 3 issues are
aligning project priorities with architecture objectives, while
Stage 4 issues are defining, sourcing and funding business
modules.
Strategic Implications:
The
Stage 1 focus
is local / functional optimization, while the Stage 2 focus is
IT efficiency. In Stage 3 the focus is business operational
efficiency, while Stage 4 has a focus of strategic agility.
The four stages of Enterprise Architecture maturity in Figure
1 help to explain the dilemma many organizations find themselves
in today, with both EA and SOA. Enterprises struggle with the
problem of redundant data with business silos. Data exists
redundantly in various versions throughout the enterprise: when
data values in one of those versions change, all versions must
be updated to synchronize that data value change throughout the
organization.
Redundant data also leads to data maintenance
processes that are also
redundant, yet are
needed to keep the data values synchronized and up-to-date. Typically
a data change is applied by redundant manual data entry steps,
with associated staffing and work costs, delays, errors and
error-correction steps.
The move to Stage 2, with standardized technology, does not
help the redundant data problem. The resolution of this problem
is only achieved through business Integration, with integrated
data models and integrated data bases. This is explained in
“Introduction to Enterprise Architecture”.
When data exists non-redundantly in one version only, only one
data maintenance process is needed to keep it up-to-date: when
updated, all references to the data see the same data value.
From integrated data bases are also identified reusable
processes: these are the standardized processes that are needed
for Stage 3. The identification of reusable processes is
discussed in
“Strategic Modeling for Rapid Delivery of Enterprise
Architecture". Enterprise Architecture is most effective
in helping an organization evolve to Stage 3, with its
standardized processes.
While the use of SOA and Web Services offer benefit to Stage
1 and Stage 2 enterprises, the full ROI benefits of SOA are only
realized with the standardized processes of Stage 3. The
principles of SOA are discussed in
“TEN#27:
Service-Oriented Architecture (SOA)”.
The discipline that is introduced by Enterprise Architecture,
in moving from Stage 1 and Stage 2 to Stage 3, also addresses a
critical factor for success with SOA: SOA Governance. The close
management, control and rationalization of data, processes,
locations, people, time and motivation (business plans) that is
imposed by Enterprise Architecture achieves business
integration. It also results in the capture by modeling tools of
the metadata that is needed by SOA for SOA Governance.
The standardized processes of Stage 3 are essential for
success with SOA. It is only when these standardized processes
are identified for Stage 3 that an organization is then able to
evolve to Stage 4 of Business Modularity and its benefits of
strategic agility.
Two organizations that have used Enterprise Architecture to
start to evolve along the path from Stage 2 to Stage 3 (and
which will later be able to move to Stage 4) are discussed in
two project descriptions: “Enterprise
Architecture in Banking” and “Enterprise
Architecture in Government”.
Back to Contents
The MIT Sloan Center for Information Systems Research (CISR)
conducted a survey of 456 enterprises between 1995 and 2006.
This identified four stages of Enterprise Architecture maturity:
-
Stage 1 –
Business Silos
-
Stage 2 –
Standardized IT Technology
-
Stage 3 –
Standardized Business Processes
-
Stage 4 –
Business Modularity
Organizations typically take 5 years to evolve through each
stage. These stages cannot be skipped but they can be speeded
up.
The ROI benefits of Stage 3 and of SOA Governance are
dependent on achieving business integration through Enterprise
Architecture. EA and SOA are essential in achieving the
strategic agility benefits of Stage 4: Business Modularity.
Back to Contents
[1]
“The Four Stages of Enterprise Architecture”,
CIO Magazine, Australia, (Feb
2007).
Video Courses
We announced the following video course segments
in the last issue of TEN. These are being enthusiastically used by
organizations to help their business and IT managers and staff learn the principles and benefits of Enterprise Architecture.
They are presented via webcast
courses throughout the world, as online courses based on live
seminars or skills-transfer workshops that use real-life case study
problems. Click on the links below to view free, video overviews of
htese video
courses. Review each Section table further below to see the course
segments for each section topic.
Overview Videos
A
free, brief overview video is available of all of these webcast
courses, as well as a free, full comprehensive overview video.
Course Handouts
Each online course includes all handouts (two visuals per page) of
the visuals that are presented in the relevant course. Each section
of the course includes a free White Paper that can be downloaded for
later reference.
Download the handouts and print them for reference and to take notes
while doing the relevant online course. Download the White Papers as
well and print them for later reference after doing the relevant
course segments in each section.
Back to Contents
VIEW BRIEF OVERVIEW OF WEBCAST COURSES
Rapid Delivery of Enterprise Architecture
Download Handouts for Brief Overview (PDF 71K)
Do Brief Overview Course
(16:16 mins.)
Back to Contents
VIEW FULL OVERVIEW OF WEBCAST COURSES
RAPID DELIVERY OF ENTERPRISE ARCHITECTURE
Download Handouts for Full Overview (PDF 96K)
Do Full Overview Course
(42 mins.)
Back to Contents
RAPID DELIVERY OF ENTERPRISE ARCHITECTURE
Click on the Registration Link below each Section Table of Course
Segments that follow. More webcast videos will be progressively
added for online registration from June 2007.
Section 1:
Enterprise Architecture for Managers and IT
This section covers what is commonly referred to as Business
Architecture. One of the biggest problems in achieving success in
Enterprise Architecture is in getting active participation from
business managers and business experts. The segments in this
section demonstrate that business knowledge is vital for success
with EA. This knowledge is not an IT responsibility, but is the
responsibility of business managers and their expert staff. IT staff
also need to take a different approach in systems development, to
build support systems that can be easily changed to support rapid
business change.
This course section shows how business managers and their staff
become actively involved, to drive the EA activity to success. Two
White Papers can be downloaded for detailed reference after viewing
the course segments in this section.
|
Seg |
Segment
Title |
Mgt |
IT |
|
1-01 |
The Need
for Business Transformation |
4 |
4 |
|
1-02 |
Systems
Support for Rapid Business Change |
4 |
4 |
|
1-03 |
Balanced
Scorecard and Strategy Maps |
4 |
4 |
|
1-04 |
Introduction to Enterprise Architecture |
4 |
4 |
|
1-05 |
Governance Analysis using Enterprise Architecture |
4 |
4 |
|
Papers |
White
Papers on "Enterprise Architecture for Managers and IT"
and on "Governance Analysis using Enterprise
Architecture" |
4 |
4 |
Registration for Section 1
The following link will take you to our Online Store,
where you should select the Category "Online Courses" and then
choose Section 1 and the Subscription Option that you want. You can
pay by offline credit card or via PayPal (if you prefer) as detailed
on the Home page of the Store. Provide your email address with your
payment and you will then receive an email 1- 2 days later with the
details of the link for downloading the Section 1 courses.
Register for Section 1 Webcast Courses
Back to Contents
Section 2:
Using Strategy Analysis to Define the Future
A
key requirement for success with Business Architecture is a focus on
the future based on Strategic Business Plans. Strategy Analysis is a
rapid delivery method for Strategic Planning. The course segments in
this section show how to use Strategy Analysis to develop business
plans from scratch if they do not yet exist, or how to refine
existing business plans. Strategy Analysis can also be used by IT
staff to gain an detailed understanding of the future business needs
for inclusion in Project Requirements Specifications. A Business
Planning Questionnaire is provided as a catalyst to develop new
Business Plans from scratch or to refine existing plans.
This course section shows how business managers and their staff can
become actively involved in identifying future business needs, to
drive Enterprise Architecture to success. A White Paper and a
Business Planning Questionnaire can be
downloaded for detailed reference after viewing the course segments
in this section.
This section and the following course sections are expected to be
available around June 2007. Their availability will be announced in
the next issue of TEN.
|
Seg |
Segment Title |
Mgt |
IT |
|
2-01 |
Analyzing the
Mission Statement |
4 |
4 |
|
2-02 |
Defining
Policies; Goals, Objectives and KPIs; Strategies and Tactics |
4 |
4 |
|
2-03 |
Strengths,
Weaknesses, Opportunities and Threats |
4 |
4 |
|
2-04 |
Implementing
the Business Plan through Personal Scorecards |
4 |
4 |
|
2-05 |
Business
Planning Questionnaire |
4 |
4 |
|
2-06 |
Using
Strategy Analysis for IT Project Requirements Specifications |
4 |
4 |
|
Papers |
White Paper
on "Using Strategy Analysis to Define the Future"
and "Business Planning Questionnaire" |
4 |
4 |
Registration for Section 2
When enabled, the following link will take you to our Online Store,
where you should select the Category "Online Courses" and then
choose Section 2 and the Subscription Option that you want. You can
pay by offline credit card or via PayPal (if you prefer) as detailed
on the Home page of the Store. Provide your email address with your
payment and you will then receive an email 1- 2 days later with the
details of the link for downloading the Section 2 courses.
Register for Section 2 Webcast Courses
Back to Contents
Section 3:
Strategic Modelling for Rapid Delivery of EA
One of the biggest problems in implementing Enterprise Architecture
projects is the amount of detail that is defined. The course
segments in this section show how to develop a high-level Strategic
Model - as a conceptual Enterprise Model - from Business Plans that
focus on the future. It shows how to analyze the Strategic Model,
both manually and also automatically, to derive project plans from
the data model. Segment 3-04 extends the discipline of data modeling
with new methods that have not generally been seen or understood
even by experienced data modeling practitioners. Similarly, in
Segment 3-03, the
identification and derivation of reusable business activities and business
processes from data models is not widely understood. These new
methods enable priority reusable business processes to be identified and
extracted from complex data models - along with the data that they
need - as subprojects for rapid delivery into production in 3-month
increments.
A
White Paper and a Strategic Modelling Questionnaire can be downloaded for detailed reference after viewing
the course segments in this section.
|
Seg |
Segment
Title |
Mgt |
IT |
|
3-01 |
Strategic
Modelling Questionnaire |
4 |
4 |
|
3-02 |
Developing the Strategic Model from Business Planning
Statements |
4 |
4 |
|
3-03 |
Identifying Business Activities and Processes from the
Strategic Model |
4 |
4 |
|
3-04 |
Deriving
Project Plans from the Strategic Model for rapid
delivery of shared databases and reusable systems |
4 |
4 |
|
3-05 |
Deriving
a Project Map from a Strategic Model for 3-month
deliverables |
4 |
4 |
|
3-06 |
Documenting the Enterprise Architecture Portfolio Plan
from the Strategic Model |
4 |
4 |
|
Papers |
White
Paper on "Strategic Modelling for Rapid Delivery of
Enterprise Architecture" and "Strategic Modelling
Questionnaire" |
4 |
4 |
Registration for Section 3
When enabled, the following link will take you to our Online Store,
where you should select the Category "Online Courses" and then
choose Section 3 and the Subscription Option that you want. You can
pay by offline credit card or via PayPal (if you prefer) as detailed
on the Home page of the Store. Provide your email address with your
payment and you will then receive an email 1- 2 days later with the
details of the link for downloading the Section 3 courses.
Register for Section 3 Webcast Courses
Back to Contents
Section 4:
Real-World Enterprise Architecture Projects
This section describes two real-world projects that applied the
methods covered in the previous sections of this webcast course to
develop and analyze a Strategic Model
for a Regional Bank and also for a Government Agency. These projects
documented this analysis in an Enterprise Architecture Portfolio
Plan (EAPP) Report for each organization, for rapid delivery of
priority processes into production as systems in 3-month increments.
A
White Paper on each project can be downloaded for detailed reference
after viewing the course segments in this section.
|
Seg |
Segment Title |
Mgt |
IT |
|
4-01 |
Enterprise
Architecture in
Banking |
4 |
4 |
|
4-02 |
Enterprise
Architecture in Government |
| |